Hi again ebene (and welcome Petti)
Here are the links for Safe Boot and Repair Permissions (they're also in the Tips and Tricks Forum).
Mac OS X 10.2, 10.3: How to start in Safe Mode Repairing Permissions
Another idea to check if the problem is somewhere in your Home setup or preferences is to create a new Admin user, and install LimeWire there. This will be as if you'd never installed LimeWire before.
The OSX help menu has the instructions (just paste "Adding a user account to your computer" into the Finder's Help window).
The new user, will have its own password, Home Folder and prefs, which will give you the closest to a fresh start without doing a system reinstall (and it's easily deleted from Accounts afterwards).
If the probelm repeats here too, then you'll have eliminated the user setup as the problem. Post back--
Sure is good that Roger and Sam, who understand coding, are aware of the situation (thanks guys for taking the time).